A surety bond is a three-party agreement among a principal, an obligee, and a surety.
The bond formalizes the principal's obligation to the obligee. The surety guarantees that the principal will fulfill their obligation.
All licensed new motor vehicle dealers are required to maintain a Mississippi New Motor Vehicle Dealer Bond by the Mississippi Motor Vehicle Commission. The bond is required as part of your dealer license application.
The Mississippi New Motor Vehicle Dealer Bond helps ensure that dealers conduct business ethically and lawfully.
You may have heard this bond referred to as a Mississippi DMV Bond, Dealer Bond, Dealer License Bond, Car Dealer Bond or Auto Dealer Bond. While people use many names, they refer to the same bond. If you are a new motor vehicle dealer in the state of Mississippi, this bond is required to obtain your license.